The last year has changed many priorities in the real estate industry, especially for those who invest in them. The flexibility of mainly tenants and owners has been put to the test. The needs and expectations of investors have also changed, as they will face greater caution in decision-making processes next year. What properties will be of greatest interest? What criteria will be taken into account when buying real estate?
Despite all changes caused by the pandemic, real estate in this and subsequent years will still be an excellent alternative to other investments. The interest in real estate in the best locations is observed, although they may not coincide with those considered to be the most desirable so far. Investors' caution will be manifested in a more detailed study of the investment and its tenants. Investors must take into account the effects of the introduced lockdown, such as decreased turnover, reductions in rents, or even rent-free periods. It will be important to check alternatives to the current function of the rented space. You can see increased interest in those properties that did best during the economic freeze, such as retail parks and warehouses. Many investors are turning to alternative properties, such as rental housing (BTR) and retirement homes.
Fixed-line trade, which was hard hit by the pandemic, moved online. We are witnessing an incredible development of e-commerce in our country. Warehouses have been the most attractive type of real estate for investors for some time.
“Online shopping is not only a warehouse but also an extensive logistics network and a headquarters that deals with orders. The position of warehouse space in Poland has increased due to the pandemic, but also other factors. These include lower rental rates and personnel costs than in Western Europe, as well as an increasingly better road network. The proof of this position is, among others, Amazon, the world e-commerce leader, has entered the Polish market. Warehouses are at the forefront of attractive real estate for investors this year,” Małgorzata Cieślak-Belgy, Investment Director CEE at MNK Partners, said.